EU member with the most aggressive corporate-tax-refund regime in the bloc: 35% headline drops to ~5% effective on most trading income via the 6/7 refund. English-speaking, common-law-influenced.
Not legal, tax, or accounting advice
This page is for orientation only. Choosing a corporate structure has tax, legal, and banking consequences specific to your situation. Consult a licensed attorney and tax adviser in both your country of residence and the proposed jurisdiction before incorporating.
$3,000
$5,500
7 days
35%
A Malta Private Limited Company (Ltd) — known formally as a 'Private Exempt Limited Liability Company' — is the EU's tax-engineered corporate vehicle. Malta's full-imputation tax system charges 35% corporate tax on company profits, but distributes a refund mechanism upon dividend payment to shareholders that effectively drops the rate to ~5% on trading income (6/7 refund) or ~10% on passive income (5/7 refund). Malta is a full EU member (since 2004) and eurozone member, English is an official language, and the legal system blends common law and Continental civil law. Setup is via the Malta Business Registry under the Companies Act 1995. Minimum share capital €1,164.69 (with 20% paid-up = €232). Mandatory: at least one director (any nationality, no residency required for company tax purposes — but substance matters for treaty benefits), one company secretary, one shareholder. The post-2022 Pillar Two minimum-tax framework affects MNEs > €750M turnover; for SMEs the 5% effective rate stands.
Government fee
$270
Registered agent (yr 1)
$1,500
Legal (optional)
$800–$3,500
All-in setup (low / typical)
$1,700 / $3,000
Annual maintenance (low / typical)
$2,200 / $5,500
Corporate tax rate
35%
VAT / GST
18%
Withholding on dividends (non-treaty)
0%
Public beneficial ownership registry
Yes (searchable)
Headline 35% — but Malta's full imputation system grants shareholders a refund of corporate tax paid upon dividend distribution. The standard 6/7 refund (on trading-income dividends) gives an effective rate of 35% × (1 - 6/7) = 5%. The 5/7 refund (on passive-investment-income dividends) gives effective ~10%. The 2/3 refund (where the company has claimed double-tax relief on royalties / certain interest) gives effective ~6.25%. To unlock the refund, the recipient shareholder typically needs to be non-Maltese-resident or use a Maltese 2-tier structure (Holding Co + Trading Co). Pillar Two minimum tax (15% effective) will hit MNEs > €750M from 2025-2026.
Banking difficulty
●●●●○ Hard
Stripe / payment processors
Stripe supported
Malta banking has tightened post-2018 Pilatus Bank scandal and ongoing FATF grey-listing concerns. Local banks (Bank of Valletta, HSBC Malta, APS Bank) onboard cautiously — non-resident-director companies face 8-16 weeks of KYC. Many operators bank in Wise Business or Revolut Business, or via correspondent EU banks. Maltese-resident director materially improves bank acceptance.
Stripe Malta is supported (since 2018). Adyen, Mollie, and other EU processors all work for Maltese entities. SEPA + EU Payment Services Directive (PSD2) coverage from day one.